Trying to fix credit..?
My credit was butchered when i was 18 by me being foolish. Soo now ive gotten a good job, so i can start paying this shit off finnally. ITs really just one major credit car bill form capitol one i think its up to 1700$..i tihnk cant remember right now. save up and pay it all? or hack it down with payments? Suggestions would be appreciated.
You have several choices.
1. You simply pay it off and move on. The catch is that it will still remain on your credit for up to 7 yrs as a collection, even after you pay it off in full.
2. You can try and settle it for less than the amount owed. The catch here is two fold. #1 It will still remain on your credit for up to 7 yrs AND #2 You will have to pay whatever the settlement amount is all at once, no payment plan.
3. You can make a payment arrangement to pay it off. Sometimes they will even negotiate the total amount down from what the actual is. The catch is like all the others; remains on your credit.
Unfortunately, you are not alone in your situation. Many of us got ourselves into the same situation when given the responsability of a CC when we were young. It took me many years to dig myself out from underneath huge bills I got myself into by not using my head when young. It took YEARS for me to get my credit back up to where it belonged. Now, I'm anal about my credit because of that.
Good luck.
payments. it does more for your credit score because it shows reliability. if you pay it at once, its still ok, but payments would be better. pay enough to pay it down moderately quickly, but not so much that it only takes you 3 or 4 payments to knock it down.
SOo if i pay it off in 2-3 months. it wont show on my credit report as payed for 7yrs? thats harsh... im wanting to purchase a new vehicle, i can afford one...its just my credit is messin up the process..
have you been making the minimum payment on it?
Sorry bud, but that's incorrect.Originally Posted by b18hb
Credit scores are not derived just from payments and how you make them. Yes, that's part of it, but there are other variables that affect scores too.
In his case, I believe he is talking about an account that is already delinquent from years ago. Therefore, it is already affected and is affecting his credit now. He is trying to simply rebuild, not establish. The longer that account remains in collections, the more it's bringing down his score.
The only way out is to settle the account one way or another. He may even get lucky and the creditor clear out the account once paid instead of leaving it as a "paid collection". Either way, it's not going to get any better as long as there is a balance. Therefore, payments would not necessarily be a good thing for him.
No. If you pay it off whenever, 2-3 mos or 2-3 yrs, the creditor has the right to leave it reporting on your credit as a "paid collection". It's not as detrimental to your score as an "outstanding collection", but it certainly is not a "good" mark either way. The creditor can do that for up to 7 yrs. Some creditors are notorious for doing this very thing. You pay the off after an account goes into collections, even with good reasons, yet they keep reporting to the bureaus that it was a paid "collection". The words "collections" and the actual credit history (+30, +60, +90 day lates) is what kills your scores.
See, there are creditors that simply wipe everything out when you pay them off. Your account looks spick and span. You may have had them for open for 10 yrs, had a ding here and there, but when you paid them off they basically wipe out the account back to the way it was when you opened it. Clean slate.
The majority will keep sticking it to you until they can't no more.
Nature of the beast guys. Not fair at all, believe me. But it happens frequently. I know because I do this all the time for my customers.
Nope havent made any payments on it at all. Ive just got to a point where i have the extra mney to pay it off. So i just started. i got to find the bill i think it might be as low as 1200$...
I have a VISA ... 2300.00 .... I'm in the same boat you are, I really wish I could get it paid off. Every month I pay 200 or 300 dollars but nothing helps... all it does is pay the finace charges. I think Im just going to take out a loan to pay it off and then have lower interest when I pay the loan back.
You might want to get a new credit card wiht a 0% Intr oapr and transfer the balance! Rediculous finance charges can make payments seem ineffective.
Leisa and S. 4 Life NM?
Exactly. Or if that does not help, try to negotiate your interest rate. It can be done and it takes a try. Some companies would rather lower your annual rate and maybe even extend you a 0% offer versus you just declaring bankrupt and them not getting their money. Mention the words "want your help to settle the debt with you" and they will listen.
I got free clear tails with my ride.....
I doubt I can even get approved for another card.... So That's outta the question. About them helping though, I've seriously had them tell me, No more finaces charges blah blah blah, payment plans and they didn't go through with it,... Now collection is wanting their money. Grrr.
Damn I had no idea that your account was in "collection' status?
sorry
Leisa and S. 4 Life NM?
what you can also do..if you said you haven't paid in a while..depending on the company...we offer whats called a "cure"..i work for chase and i take some collection calls too on top of my normal cust service calls..basically handle anything until its charged off.. the cure can be one or two months and basically for a two month period for example they give an amount for a payment to make for two months that must be made by the due date. for expample you have to pay $450 this month and $450 next month..since you said you have a steady job and you have the willingness and ability to pay now. and upon making those two payments your account would be brought current so the collection calls will stop and letters etc..of course the mark will still be on your credit. but then you can make a normal monthly payment. you can also ask them if they can offer you a settlement..we usually start offering them once you are a certain amt past due...depending on how far PD you are they could even go down as far as 70% of your current balance. then they will give you a form to sue on your taxes at then end of the year for the forgiven debt.
that's why i asked if he had been making payments. i assumed he was already making the minimum payment (but then again, i suppose his credit wouldn't be botched up if he had been) and just wanted to get it paid down. since he hasn't been, i concur with you.
Best thing to do is get it paid off as soon as possible and chill for a little while. There's nothing wrong with having a little credit balance where you've been reliable with your payments. That's what you'll need to try to establish in about six months after you pay off your credit card. Your situation is so normal so don't beat yourself up over it. Just simply deal with it. It would not be in your best interest to try and secure a large loan for a couple of years. Just be conservative. It's pay me now or pay me later and right now you can probably get away with a more basic lifestyle than you're going to want in a couple more years. Just my two cents. Good luck!
Why are you back on this site? Just because you were baned like 3 years ago it doesnt mean I forgot..
brad, chase is handling my debt. Any way you could look at my case or whatever and guide me the right way to get rid of this?
well i only handle the circuit city credit card so i wouldn't be able to view your account..i dont have access to other chase accounts..plus if i did i would get in a lot of trouble..but PM me and i can help you out w/ the credit card thing, i know credit cards pretty well since i have worked in the industry for the last 3 years. or definately take jamiecbr's advice he knows what hes talking about
ah nevermind i looked at it and its NCO or something.. gonna call them up monday and see waht they are offerin me..
well depending on how far past due it is, they could have charged off and was sent to a collection agency.
What eber you do dont file bankrupt. not orth it for that much. Some Credit COncolidation co. want you to file before thell help you. Just save and payoff
nco is a collection agency & from what i've seen, they're not too giving with settlement offers. good luck!
credit consolidation will mess with your credit, too. they don't do anything you can't. you're better off just working a settlement with the company yourself.
RIP Aunie
RIP Leisa
You will never be forgotten!!!
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